Mortgage rates hit the lowest level since February during the week ended April 7, according to Freddie Mac’s Primary Mortgage Market Survey.
The average rate for a 30-year, fixed-rate mortgage (FRM) was 3.59%, down from 3.71% the previous week. A year ago at this time, the 30-year FRM averaged 3.66%.
The average rate for a 15-year FRM was 2.88%, down from 2.98%. A year ago at this time, the 15-year FRM averaged 2.93%.
The average rate for a five-year, Treasury-indexed, hybrid adjustable-rate mortgage (ARM) was 2.82%, down from 2.90%. A year ago, the five-year ARM averaged 2.83%.
“Mortgage rates this week registered the delayed impact of last week’s sharp drop in Treasury yields, as the 30-year mortgage rate fell 12 basis points to 3.59 percent,” Sean Becketti, chief economist for Freddie Mac, says in a release. “This rate marks a new low for 2016 and matches last year’s low in February 2015. Low mortgage rates and a positive employment outlook should support a strong housing market in the second quarter of 2016.”